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Edited by Todd Cooper JL 1J / V V O Ax AvJiJky A FrWay* April 30,1993
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White House outlines aid program for college students
WASHINGTON — Students
who perform community service
could work off SI 3,(XX) in college
tuition, get a modest stipend and
qualify for health care and day
care benefits under President
Clinton’s national service program.
According to a White House
outline of the program, the plan to
be unveiled Friday also includes a
more controversial component to
make higher education affordable:
a S25 billion federal government
takeover of the college loan pro
gram.
Clinton said during the cam
paign he would like to have the IRS
collect loan money from students,
but Deputy Education Secretary
Madeline Kunin said Thursday that
the Department of Education would
hire private contractors to collect
debts for now.
Neither the community service
program nor the loan overhaul
would be fully in placcbcfore 1997,
but Clinton promised last month
that the program eventually would
“change America forever and for
the better.”
Clinton sketched the broad out
lines of this program March 1; he
scheduled a speech Friday to stu
dents at the University of New Or
leans to promote it now that draft
legislation is ready to send to Con
gress.
Some 150,000 students would
join the National Service Corps by
1997, when the program is fully
phased in. Students could work full
time for up to two years, earning
$6,500 a year in tuition credits.
Payments would be made directly
to schools.
The $ 13,000 is substantially less
than the average cost of tuition but
equals the average debt among
graduating students. *
Students, age 16 or older, could
serve after high school and before,
during or after they attend a col
lege, university or vocational
school.
The White House outline also
says participants “without access
to health insurance will receive
health coverage.” Federal money
would pay up to 85 percent of these
costs.
Participants also could gct“chi Id
day-care benefits was not specified
in the outline.
Economy slumps
to ‘anemic’ rate
WASHINGTON — Consumers
turned cautious and military spending
plummeted during the first three
months of the year, dramatically slow
ing the economy’s growth rate to just
1.8 percent, the government said
Thursday.
President Clinton and lop Cabinet
officers immediately seized on the
number in their fight to salvage pans
of the $16 billion jobs bill blocked by
Senate Republicans last week.
The latest increase in the gross
domestic product was less than half
the robust 4.7 percent annual rale of
the fourth quarter, the Commerce
Department said.
Clinton said the report “proves we
were right” and supports “implement
ing the budget commitment that the
Congress has made to reduce the defi
cit and to increase targeted invest
ments that will generate jobs.”
His budget director, Leon Panctta,
said, “Right now this is an anemic,no
jobs recovery It should be obvious
that the recovery needs a significant
O -a
boost.”
Senate Republican Leader Bob
Dole of Kansas said the president’s
tax-and-spend policies depressed the
economy by scaring business execu
tives, consumers and investors.
“The American people arc grading
the president with their pockctbooks,”
he said.
Economists had anticipated a
somewhat belter first-quarter rate of
between 2 percent and 2.5 percent.
Some attributed the slowdown to
temporary factors, including a severe
East Coast storm in mid-March,
smallcr-ihan-usual tax refunds and an
inevitable retreat by consumers’ after
a holiday spending spree that pushed
the fourth-quarter growth rate to a
five-year high.
Other analysts, pointed to longer
lasting drags on the economy, includ
ing slumps in Europe and Japan, which
are depressing U.S. exports sales, and
continuing defense cuts.
Slock prices dipped after the
report’s release. Bond prices rose be
Gross
domestic
product
The GDP measures aN the goods -
and services produced by workers
and capital located in the United
States, regardless of ownership.
PoroorU change from previous quarter
Sourer US. Dipt at Corrmwa AP
cause the disappointing news made it
less likely the Federal Reserve would
raise interest rales.
reared or compound turns up /u bodies
WACO, Texas — Investigators
ended their search for bodies in the
charred Branch Davidian compound
Thursday after finding more than 70.
That would be at least a do/cn fewer
people than cull leader David Koresh
had claimed were with him.
There was no immediate word of
whether Koresh’s body was among
those found.
Thirty-two of the victims were
found in a fortified first-floor room.
Officials gave conflicting reports
Thursday on whether three or seven of
the bodies examined so far had gun
shot wounds.
The wooden buildings were lev
eled in an inferno April 19, ending a
51 -day standoff between the cull and
federal authorities. The fire began
after FBI tanks punched holes in the
buildings and pumped ia tear gas;
authorities say cull members started
the fires, but some survivors dispute
that.
Four more bodies — all of cull
members who died in shootouls Feb.
28 after the federal raid thai began ihe
siege — remained in underground
tunnels at the compound, said Mike
Cox, a spokesman for the state De
partment of Public Safely, which is
heading the cleanup.
Investigators saw those bodies dur
ing an initial search of the tunnels but
couldn’t immediately remove them
because the tunnels were flooded from
heavy rains and contained human
waste dumped there during the stand
off.
Workers had hoped to enter the
area by Thursday, but overnight rains
forced them to spend the day pumping
water out of the tunnels, Cox said.
At midday Thursday, officials re
moved what they said were the final
victims of the standoff s sudden con
clusion.
The bodies were found in the same
cindcrblock room where 25 other vic
tims and about 1 million rounds of
ammunition were located, said David
Parcya, a McLennan County justice
of the peace. Another nine bodies
were on top of the structure, he said.
Strike
Continued from Page 1
Woodward said 17 workers crossed
the picket lines and returned back to
work since the strike began, but the
rest arc without jobs, at least tempo
rarily.
‘Technically you can’t be fired for
striking because you have the right to
do so,” he said.
Greer, a 17-ycar union member
but now a management member, said
production inside the plant was run
ning at less than 20 percent. He said it
was hard to go to work when his co
workers were outside picketing.
“It’s very stressful,” he said. ‘They
are hollering and yelling at you, but
that goes along with the strike.”
A negotiating team from Ameri
can Signature met with representa
tives of the three local unions Tues
day and Wednesday. The company
submitted five new proposals that in
clude a two-year contract, a $250
bonus, a 2 percent across-the-board
wageincrcasecfTectivein March 1994
and keeping health care contributions
at present levels.
Woodward said the negotiations
were unproductive and wouldn’tcon
tinuc until next Tuesday in Atlanta,
Ga.
“The $250 signing bonus was a
slap in the face,” he said. “Money is
not the issue, we haven’t gotten a
raise, and wc’re^not asking for an
increase.”
When the strike eventually ends,
Greer said it would be difficult to go
back to work.
“I really don’t know how that will
be,” he said. “I imagine it will be a
biucr pill for both of us to swallow,
but if we want to make the company
grow and a success, we’ll just have to
set some of this stuff aside and get
back to business.”
Nelrraskan
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Governors want freedom
to spend federal dollars
WASHINGTON — Money alone
won’t buy happiness for the nation’s
governors.
They’d like to see more federal
spending on education, health, trans
portation, housing and other programs.
According to an Associated Press
survey of governors, what they covet
even more is the freedom to spend
federal dollars however they choose.
“Rarely does money come from
Washington with no strings attached,
even though the states arc in the best
position to determine how best to
implement programs that benefit their
own residents,’’ said Illinois Gov. Jim
Edgar, a Republican.
President Clinton already has told
the Department of Health and Human
Services to give states more flexibil
ity in administering Medicaid. Or
egon has been given a waiver that will
allow it to treat more people, but
reduce the number of covered treat
ments.
And Vermont has gotten adminis
tration permission to cut benefits for
people who don’t find jobs or accept
public service work after 2 1/2 years
on the Aid to Families with Depen
dent Children welfare program.
The costs of A FDC is shared by the
stales and federal government.
The AP survey of dozens of gover
nors found that many would like to
see that freedom extended beyond
health and welfare programs.
Said Vermont Gov. Howard Dean,
a Democrat: “The truth is, I would tell
them to keep their money and just
give us our flexibility, particularly in
the areas of education, health care and
housing."
“What might work in California or
New York may not work in Wiscon
sin or Ohio," said Wisconsin Gov.
Tommy G. Thompson, a Republican.
Therefore, flexibility is a necessity.”
That’s a particular worry for gov
ernors looking ahead to Clinton’s
health care reform package. A bipar
tisan group that met with the president
Wednesday said he assured them that
slates would have lots of running room
implementing the plan.
Idaho Gov. Cecil Andrus said the
Reagan and Bush administrations re
quired the states to spend money for
specific programs in the areas of edu
cation, highways, the environment,
and welfare.
“What’s the biggest thing the
Clinton administration can do for us,”
asked Andrus, a Democrat. ‘Take
some of those mandates off of us
unless they’re willing to pay for the
whole bill. Don’t expect Idaho or
Montana or Nevada to live by the
same rules as you would expect New
York or Detroit or L.A. to live by.”
Ohio officials cited the 1990Clcah
Air Act as one area in which the
federal government has directed how
federal funds should be spent. Okla
homa Gov. David Wallers said the
federal government provided no
money to implement the Safe Drink
ing Water Act.
Bosnian tactions agree
to one last peace effort
urNiitu INAIIUNS — With the
threat of U.S. air strikes imminent,
Bosnia’s warring particsagrccd Thurs
day to a last-ditch effort to resolve the
conflict with weekend peace talks in
Athens.
U.N. diplomats said they consid
ered the Saturday-Sunday talks to be
a final chance to reach agreement on
an international peace plan that only
Bosnian Serbs have rejected. Mus
lims and Croats have signed.
U S. Ambassador Madeleine K.
Albright said it could be the Bosnian
Serbs “best opportunity to reach a
peace agreement. Let’s hope they arc
wise enough to take advantage of it.”
She earlier refused to say if air
strikes would be launched if Serbs
persist in rejecting the plan. She said
the United States had not decided its
course.
In Washington, Secretary of State
Warren Christopher said the resump
iwn of talks would not affect Presi
dent Clinton’s consideration of
tougher steps, such as military strikes
Fred Eckhard, spokesman for in
ternational mediators, said all three
parties — Muslims, Croats and Serbs
accepted the offer to meet in Ath
ens Saturday and Sunday.
“The meeting.. .will give all par
ties a chance to discuss how the plan
"r^ Vari0US sccurily concerns
Wh[Vr ft C'pcc,al,y toe Bosnian
oerbs, Eckhard told reporters.
— II
The meeting.. .will,
give all parties a
chance to discuss
how the plan meets
the various security
concerns of all
parties.
—Eckhard
spokesman for international
mediators
-tf "
Bosnian Serbs said Thursday that
their self-proclaimed assembly would
reconvene May 5 to re-examine the
plan it rejected Monday.
The Croats and Muslims, the other
warring parlies in the yearlong con
flict, have signed the plan.
The assembly’s decision came af
ter Bosnian Serb leaders met in
Belgrade, Yugoslavia with Serbian
President Slobodan Milosevic, their
main backer.
The U.N. announcement, on be
half of mediators Cyrus Vance and
Lord David Owen, said the decision
to reopen the talks was influenced by
the apparent Bosnian Serb conces
sion.
